Quote:
Orginally posted by naudurivsm
Ok, let me be some more specific, Ages my kids are
older one is 10yrs and younger is 9 yrs then,
which one should I go for MFs or RESPs?.
Hi,
you don't have to choose between RESP & MFS....as RESP is just a kind of scheme....you can invest your funds within the RESP plan in GICs and/or MFs.....commonly known as self-directed RESP.....you can also select what kind of MFs is suitable keeping in mind your specific child.....
Since you have two kids....one most imp thing you should keep in mind is to open a FAMILY PLAN and not an INDIVIDUAL PLAN....no matter which co. or bank do you go with......the benefit is that if one of the kids does not end up attending college/unversity....the other can withdraw entire balance in the family plan w/out having to forego the grant from govt....just see your personal banker.....he/she will ask you a series of Qs and that will determine what kind of investment is good for both your kids....then you have an option to see the merits of the suggested investments and choose whether you want to invest your mooney in that plan or something else....
At the same time check the investment options offered by private cos....compare there administration fees.....check what are the conditions under which fees are refundable.....compare their returns....types of investment.....SAFETY of invst.....and then decide what's good for you.....If you feel that returns are favourable by a private co and you are certian that your kids will utilise these funds for further studies....then may be private cos would be better for you as the administration fees will be refunded to you....but read all fine prints before taking your decision
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Let's help each other to grow & prosper in Canada
Quote:
Orginally posted by reachash
At the same time check the investment options offered by private cos....compare there administration fees.....check what are the conditions under which fees are refundable.....compare their returns....types of investment.....SAFETY of invst.....and then decide what's good for you.....If you feel that returns are favourable by a private co and you are certian that your kids will utilise these funds for further studies....then may be private cos would be better for you as the administration fees will be refunded to you....but read all fine prints before taking your decision
Hi thanks for the response.
Mr. Pramod thanks to you as well.
I am doing a thorough research into this, but not able to decide yet. As you said i/we need to consider the overheads ( all kinds of fees) , which are in fact not consistent and vary from Institution to Institution. on the monthly /annual contributions etc I now have a fairly good idea.
Is there any site which has a comparison of all costs/fees charged by different institutions ? becasue that will give us a bird's view of what is the cost involved, and without having to shop around in detail.
Thanks again for your suggestions.
Quote:
Orginally posted by naudurivsm
Quote:
Orginally posted by reachash
At the same time check the investment options offered by private cos....compare there administration fees.....check what are the conditions under which fees are refundable.....compare their returns....types of investment.....SAFETY of invst.....and then decide what's good for you.....If you feel that returns are favourable by a private co and you are certian that your kids will utilise these funds for further studies....then may be private cos would be better for you as the administration fees will be refunded to you....but read all fine prints before taking your decision
Hi thanks for the response.
Mr. Pramod thanks to you as well.
I am doing a thorough research into this, but not able to decide yet. As you said i/we need to consider the overheads ( all kinds of fees) , which are in fact not consistent and vary from Institution to Institution. on the monthly /annual contributions etc I now have a fairly good idea.
Is there any site which has a comparison of all costs/fees charged by different institutions ? becasue that will give us a bird's view of what is the cost involved, and without having to shop around in detail.
Thanks again for your suggestions.
I am afraid, I don't know any such website....however you may check out this link for some more info to make your decision...
http://www.investored.ca/en/library/osc/resp_english_brochure.htm?section=category
hope this helps.....if you do find any website where you can have a bird's eyeview....please do post it here
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Let's help each other to grow & prosper in Canada
Quote:
Orginally posted by reachash
I am afraid, I don't know any such website....however you may check out this link for some more info to make your decision...
http://www.investored.ca/en/library/osc/resp_english_brochure.htm?section=category
hope this helps.....if you do find any website where you can have a bird's eyeview....please do post it here
Hey Thanks for the link. I surely will update this thread on my further actions and any info I get on this.
Posts: 456
Location: Canada-Glorious and Free
Posted on: 13-02-06 10:39:07
Location: Canada-Glorious and Free
Posted on: 13-02-06 10:39:07
Quote:
Orginally posted by nishi200
Hello,
I have collected several stastics and I would like to know which RESP group company is better
Based on the annual report of 2002~3 of following company, following are the return given in the year 2003 to the university students against their unit purchase and investment.
USC => $ 532/ 1st year Year
TSC => $ 467 /year
Childern Education => $ 715/1st year
Heritage => $ 497/year
I am confused because I invest money today and I don't know after 15~20 year how good that company's investment decisions are going to be?
May be management takes poor investment decision, money will be reduced?
As this are known as trust no profit company, still they can drain money by paying hefty bonus to management and earn money as most of this company major owned by 5~6 board of director (Who are going to be in the list till their life)
I am also not interested to go to bank and do it as for that you need lots of investment experience and continous eyes on investment.
1) Is there some one can highlight on which company is more reliable and better for RESP
2) Which way is better to buy - lock in for next 15 year and pay fix amount per year /month or 100% buy out unit once at a time till law permit.
I started to invest in RESP when my kid was born. At that time, according to the law, these companies could only invest in Triple A quality bonds or mortgage back securitites. And the returns they were achieving was better than the street.
After some more investigation, I found out that the return depends on how many kids that DO NOT claim their education funds. The growth in the funds set up by the parent is in a pool of investments while the principal is returned to the contributor. So essentially, if a kid does not go to college, the principal is rteturned to the parents but the growth is left in the pool to be distributed to children that do go to college.
BV
